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When to Exit an Options Trade: Don't Gamble Away Your Profits

Michael Shulman, July 8, 2009 Free Trading Guides

Learn how to DOUBLE your money from stocks that go DOWN!

When to Walk Away

You should walk away when you have profits or are nearing losses that are more important to your portfolio than they were when you first set up the trade. Yes, your portfolio, your account, your cash money. Trades do not float existentially in financial space -- they are part of your investment portfolio, which is part of your wealth, and that, in turn, is part of your life.

I rode a private Internet company into being a publicly held company, had a fortune on paper, lost sight of my financial goals and stuck with the stock. If I had thought more about my life, I would have cashed out and retired. Since you are reading this, I am clearly still working.

Next: When to Run

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